Tiny Homes Address Housing Affordability And Supply

Lake Macquarie City Council

The new tiny home in Belmont North is a joint partnership of Council, the NSW Government and Allambi Care.jpg

Two tiny homes are poised to have a big impact for families seeking affordable housing options in Lake Macquarie.

The two homes on Council-owned land at Belmont North are part of a pilot program in partnership with Hunter-based not-for-profit service provider Allambi Care, designed to provide innovative accommodation options for local people in need.

Lake Macquarie Mayor Adam Shultz joined Minister for the Hunter and Member for Swansea Yasmin Catley and Allambi Care CEO Simon Walsh on Tuesday 1 September to tour one of the homes and mark a major project milestone, with one home already occupied and another family preparing to move into the second.

"These self-contained, transportable homes provide immediate accommodation through Allambi Care's tenancy management and support services," Mayor Adam said.

"This is the sort of project that demonstrates how innovative partnerships with the not-for-profit sector and other levels of government can help address housing affordability at a local level."

"That was one of the key takeaways from the Housing Forum we hosted last year, finding practical solutions to complex challenges, and it's great to see some of those ideas coming to fruition."

Mayor Adam said there was no single answer to the housing crisis, "but projects like this can make a real difference for people who need safe and secure accommodation".

"This pilot is also helping us explore how under-utilised land can be used to deliver community benefits and provide more housing options across Lake Macquarie," he said.

Council's Housing Forum in April 2025 brought together more than 80 representatives from government, housing and community organisations to identify ways to improve housing outcomes across the region.

Minister for the Hunter and Member for Swansea Yasmin Catley said the pilot showed what could be achieved when all levels of government worked together.

"Our government has never shied away from working with local councils to get things done, and today we're seeing the real difference that partnership can make with one family having a roof over their heads and another on the way.

"We've rolled up our sleeves and delivered reforms to our planning system, and you needn't look much further than the 645 first-home buyers across the Swansea electorate who have saved an average of $23,375 on their first home.

"I've heard the community loud and clear when it comes to housing. People want to know they can build a future here, raise their families here and afford to call this place home.

"Today is another example of what we can achieve when we listen to the community, work together and turn those concerns into real results."

The two homes were purchased by Allambi Care through funding received under the NSW Government's Homes NSW Homelessness Innovation Fund.

Allambi Care CEO Simon Walsh said the priority waitlist for vulnerable people in NSW had more than doubled in the past four years.

"We are seeing more families and young people than ever with nowhere safe to live, and there simply isn't enough affordable housing to meet the need," he said.

"Working innovatively with partners like Homes NSW and Lake Macquarie City Council has enabled us to provide practical and cost-effective ways to address housing affordability and tackle homelessness, providing safe, dignified and immediate shelter for those in need," he said.

Mr Walsh added that with funding now secured for an additional two-bedroom tiny home, Allambi Care was in early discussions with Council about future site leasing arrangements.

"Access to suitable sites is critical to ensuring these housing initiatives are not only possible to establish, but remain sustainable over the long-term," he said.

Mayor Adam said the project formed part of Council's broader housing affordability agenda, which comprises investigating planning reforms and exploring housing supply opportunities on other Council-owned land including at Booragul and Cardiff.

"This pilot was always intended to test a different housing model and learn from the experience," he said.

"With people living in the homes, we can better understand the social and operational benefits and consider how projects like this might contribute to future housing solutions."

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